Finance

TD, First Horizon End $13 Billion Merger as Regulators Stall

  • Canadian bank said it couldn’t provide a regulatory timeline
  • Deal’s collapse comes with US regional lenders under pressure

A Toronto-Dominion bank branch in Toronto, Ontario, Canada.

Photographer: Cole Burston/Bloomberg
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Toronto-Dominion Bank and First Horizon Corp. scrapped their $13.4 billion deal after the Canadian lender said it couldn’t see a clear path to getting regulatory approval.

First Horizon Chief Executive Officer Bryan Jordan said the two banks made the decision very recently and signed the termination late Wednesday. Toronto-Dominion will make a $200 million cash payment on top of a $25 million reimbursement that was part of the merger agreement.